Ascena Retail Group Earnings: Here’s Why the Stock is Rising Now

Ascena Retail Group, Inc. (NASDAQ:ASNA) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 11.32%.

Ascena Retail Group, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 9.68% to $0.34 in the quarter versus EPS of $0.31 in the year-earlier quarter.

Revenue: Rose 27.49% to $1.2 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Ascena Retail Group, Inc. reported adjusted EPS income of $0.34 per share. By that measure, the company beat the mean analyst estimate of $0.21. It beat the average revenue estimate of $1.17 billion.

Quoting Management: David Jaffe, President and Chief Executive Officer of Ascena Retail Group, Inc., commented, “We were pleased to see sales trends improve across all brands in Q4. We remain on track to achieve our long range synergy targets and are positioning the business for long term growth by continuing to build infrastructure and add strong new talent.”

Key Stats (on next page)…

Revenue increased 4.89% from $1.14 billion in the previous quarter. EPS increased 30.77% from $0.26 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.40 to a profit $0.37. For the current year, the average estimate is a profit of $1.12, which is the same with that ninety days ago.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

More Articles About:   , , , , ,  

More from The Cheat Sheet